OR allow student loans to be discharged in bankruptcy - that would give the schools a hell of an incentive to not ship overtly-debt-addled peeps into the workforce.
Assuming this doesn't double or triple when you announce the rule changes, that's 6% extra taxes to pay, per year.
Realistically, you'd expect this to double in the beginning, then rapidly taper off. So that would mean 10% extra in income and payroll taxes (and 10% higher corp tax, and all imported goods 10% rise in price), then dropping to, say, a 3% rate that lasts indefinitely.
I'm pretty sure people are in universal agreement that this is too high a cost.
candiodari|7 years ago
So $200 billion.
Assuming this doesn't double or triple when you announce the rule changes, that's 6% extra taxes to pay, per year.
Realistically, you'd expect this to double in the beginning, then rapidly taper off. So that would mean 10% extra in income and payroll taxes (and 10% higher corp tax, and all imported goods 10% rise in price), then dropping to, say, a 3% rate that lasts indefinitely.
I'm pretty sure people are in universal agreement that this is too high a cost.
assblaster|7 years ago
And unlike capital resources, the originator isn't able to come after the borrower and take their education away since it's inside the brain.